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The chains’ owner, Darden, has in the past been outspoken about what it viewed as adverse effects of the new health care law, taking steps like moving some employees to part-time status to reduce costs.

“Our outlook for the year also reflects the potential impact, though difficult to measure, of recent negative media coverage that focused on Darden within the full-service segment and how we might accommodate healthcare reform,” said Darden CEO and Chairman Clarence Otis in a statement.

“We are also committed to accommodating healthcare reform in ways that work for our employees and guests. Darden is a strong business which continues to generate solid cash flows that will support appropriate reinvestment in our brands, effective debt management and consistent dividend growth,” the statement continued.

Readers' Comments (57)

Frankly I wouldn't eat anywhere which punishes its employees because the owner is a right wing kook. When I owned a small furniture company I made sure all my employees had health coverage, and my operation had much less revenue than Olive Garden, Papa John's, or any of these other grease and sodium pits which are making a big show of their right wing nuttery.

The way we handle health insurance, through the private market, adds a social responsibility to employers. Any employer so incompetent that they cant' figure out a means of meeting that responsibility needs to be doing something else for a living.

Thank you President Moron, you are one helluva job creator alright. Get the memo yet Darden, how dare you tell the truth on just how disasterous Obozocare is going to be to the job providers, the yellow press and the mindless zombie voters don't want to hear it.

Mikey123: youy "I 100% garuntee that a moron like you doesn't have the acumen to even start a lemonaid stand." 2 misspells in one sentence? Guarantee, lemonade. Who's the real moron here, Mickey? Tell us what you do for a living. Live with mommy do ya?

And here is reason 1000 dopes like you are cowards, Stryker Medical plans on laying off 1000 employees starting in 2013 because of th 2.3% excise tax in Obozocare. This is the same Stryker that plowed millions in Obama's 2012 Super Pac.

You see loser, this is not a left or right issue, this is an American jobs issue, you may to grow up and join the adult real world pretty soon.

I bet you wish you obama lovers wouldn't have voted for them this time. Cause I know how much you rich snobs love olive garden. next time you will do your research before you vote won't you. We are not mad obama won the re election we are wondering how so many dumb people still remain asleep and believe everything said from the government or mainstream media is true. But you don't listen you think we are racist cause there is color involved here. well if obama was white we would still not like him. Such idiots.

Let's be clear about this: The sleazy CEO of this restaurant outfit behaves in an ethically and morally unconscionable fashion, uses right-wing smear tactics against the President and ObamaCare, AND THEN has the unmitigated GALL to blame the press for generating poor public reception of the CEO's *own* statements? And then the CEO accuses the press--and not himself and the statements that *he* made--for his company's financial problems? Such *shameless* behavior! Maybe, and I'm just spit-balling here, the company was damaged due to the foolish statements of its CEO? This is *typical* right-wing/Republican/conservative behavior: Make a mess. Take no personal responsibility for it whatsoever. Attack the press for doing its job (i.e. reporting what you say). Blame the public for failing YOU and your company! Are you sure that this CEO's name isn't George W. Bush? I have a feeling that Jon Stewart or Stephen Colbert might have a little fun with this story.

Oh, and I am practicing the POD PEOPLE STARE while walking in crowds."

I have no idea what your second sentence means, but thank you for falling victim to our nefarious progressive plot to thin the herd of tea partiers. You should breakfast at Chik-Fil-A, gorge yourself with high fat and high sodium food at Olive Garden, then for dinner pig out at Papa John's. Our actuaries tell us that by 2014 the population of Tea Partiers will be reduced by 63%. As long as you eat at those three places, you can do the pod people stare all you want, while you're waddling from vehicle to fry pit.

As someone who over the past ten years has gone to Olive Garden or Red Lobster 4-5 times a month, I am rethinking whether I want to patronize a company that marginalizes the pay of their employees the way Darden has. This does not appear to be a company that is struggling to maintain solvency, so I cannot understand why they insist on squeezing their better-than-average staff out of a fair and decent wage. It's unprofessional and unbecoming of their brand.

I don't want the company to fail because I do like their restaurants. But their otherwise excellent food is made somehow less palatable by the way they treat their employees, and I may elect to just do without visiting OG or RL in the future.

This guy's OWN PARTISAN HACKERY is loosing him customers and he's blaming Obama? Typical Republican of the 21st century! It is clear that many fair minded people, who believe HEALTH is a RIGHT and NOT a privilege, did not like the Olive Garden owner's words and actions in trying to punish his employees by withholding a basic right simply out of GREED, and are boycotting. For one, I am sad to say this is the first I've heard of this and I won't be visiting there again (Olive Garden USED to be one of my favorite places to eat out). Just like I stopped eating at Chick Filet a while back. No, I don't have a right to tell them what to do or how to behave, they are welcome to use their First Amendment rights to say any bigoted, immoral, greedy statement that they want, but I CAN withhold my purchasing power from their stores, and I will, as will many others.

NOTE to companies: want to not be boycotted by one party or the other? Refrain from PARTISAN hackery!!!!

This claims made by Darden regarding health care reform don't pass the red-face test. Most casual dining restaurants are actually owned by franchisees and have far fewer than employee counts required to make the employer-related provisions of the ACA applicable. The law explicitly exempts small businesses from mandated coverage. Furthermore, the firm has already announced its intentions to move its corporate staff to a defined contribution system using a private health insurance exchange--also largely exempt from ACA rules.

If management wants to find somebody to blame for sub-par performance, I suggest they take a look in the mirror.

I am sure it has nothing to do with subpar Italian and the stuff they try to pass off as "sea food" at Red Lobster. Why is it that corporate America only points fingers and never assumes responsibility? How dare you offer health insurance to the face of your organization, the servers and staff, when you can keep all that money and hand it to the CEO who doesn't see a single customer all year?